Project report from Indian Tea association (ITA) states that the tea industry expects a strong recovery in output and exports in calendar 2000, but low auction prices and rising costs is still a matter of concern. It is also reported that the tea output in ’00 will rise to 840 million kg from 805 million kg last year. An ITA official said the projections were based on expectations of good monsoon rains, reports of a better crop in almost all estates and an unusually low output last year when compared to the record 870 million kg produced in ’98. In its report the association said it expected tea exports in ’00 to rise to 225 million kg from 190 million-kg last year, while imports were likely to stagnate at 10 million kg. After analysing all overseas markets, considering the trends in the international market and the strengths of Indian tea, (ITA) has ambitiously projected a level of 225 million kg as the volume of tea exports from India during ‘00", the report said. It added that if crop output reached the projected level of 840 million kg, the industry would have sufficient stock to meet additional export demand. In ’99, the tea industry expected prices to rise because of a lower supply of tea in the market, but a slowdown in exports depressed prices, the trade body said. |
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